IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i19p11014-d649831.html
   My bibliography  Save this article

Life Cycle Assessment to Ensure Sustainability of Circular Business Models in Manufacturing

Author

Listed:
  • Marit Moe Bjørnbet

    (Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology, 7491 Trondheim, Norway)

  • Sigurd Sagen Vildåsen

    (Department of Industrial Ecosystems, SINTEF Manufacturing, 2830 Raufoss, Norway)

Abstract

Circular business models (CBMs) represent a path for coordinating circular economy (CE) efforts. Life-cycle assessment (LCA) is a tool for quantifying environmental effects of a product or a service and can therefore evaluate the environmental sustainability of CBMs. This paper explores whether LCA can act as an enabler for manufacturing companies who want to implement a CBM. Following a case-study approach, we draw on the experiences of a specific manufacturing company during the time period 2014–2021. The paper presents key lessons on the interaction between LCA and CE. The study finds that LCA—by providing quantified results on the environmental impacts of circular strategies—limits the risk of problem shifting and challenges the normative rule of closing the loop by including a set of multiple impact categories. LCA offers a common platform and encourages communication with stakeholders. These characteristics make LCA a well-suited tool for CBM development. However, the holistic perspective on environmental problems that LCA provides can also complicate CE’s clear message of ‘closing the loop’. Lastly, LCA is a tool for environmental evaluation, and with the main emphasis of CE also on environmental issues, there is high risk of neglecting social and economic aspects of sustainable development.

Suggested Citation

  • Marit Moe Bjørnbet & Sigurd Sagen Vildåsen, 2021. "Life Cycle Assessment to Ensure Sustainability of Circular Business Models in Manufacturing," Sustainability, MDPI, vol. 13(19), pages 1-13, October.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:19:p:11014-:d:649831
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/19/11014/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/13/19/11014/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Julia L. K. Nußholz, 2017. "Circular Business Models: Defining a Concept and Framing an Emerging Research Field," Sustainability, MDPI, vol. 9(10), pages 1-16, October.
    2. Li‐Heng Chen & Peiying Hung & Hwong‐wen Ma, 2020. "Integrating circular business models and development tools in the circular economy transition process: A firm‐level framework," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 1887-1898, July.
    3. Mohamad Kaddoura & Marianna Lena Kambanou & Anne-Marie Tillman & Tomohiko Sakao, 2019. "Is Prolonging the Lifetime of Passive Durable Products a Low-Hanging Fruit of a Circular Economy? A Multiple Case Study," Sustainability, MDPI, vol. 11(18), pages 1-22, September.
    4. Gail Whiteman & Brian Walker & Paolo Perego, 2013. "Planetary Boundaries: Ecological Foundations for Corporate Sustainability," Journal of Management Studies, Wiley Blackwell, vol. 50(2), pages 307-336, March.
    5. Nancy M. P. Bocken & Elsa A. Olivetti & Jonathan M. Cullen & José Potting & Reid Lifset, 2017. "Taking the Circularity to the Next Level: A Special Issue on the Circular Economy," Journal of Industrial Ecology, Yale University, vol. 21(3), pages 476-482, June.
    6. Anja T. Braun & Peter Kleine-Moellhoff & Volker Reichenberger & Stephan Seiter, 2018. "Case Study Analysing Potentials to Improve Material Efficiency in Manufacturing Supply Chains, Considering Circular Economy Aspects," Sustainability, MDPI, vol. 10(3), pages 1-12, March.
    7. Kirchherr, Julian & Reike, Denise & Hekkert, Marko, 2017. "Conceptualizing the circular economy: An analysis of 114 definitions," Resources, Conservation & Recycling, Elsevier, vol. 127(C), pages 221-232.
    8. Diaz Lopez, Fernando J. & Bastein, Ton & Tukker, Arnold, 2019. "Business Model Innovation for Resource-efficiency, Circularity and Cleaner Production: What 143 Cases Tell Us," Ecological Economics, Elsevier, vol. 155(C), pages 20-35.
    9. Tiberio Daddi & Domenico Ceglia & Guia Bianchi & Marcia Dutra de Barcellos, 2019. "Paradoxical tensions and corporate sustainability: A focus on circular economy business cases," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(4), pages 770-780, July.
    10. Vildåsen, Sigurd Sagen & Keitsch, Martina & Fet, Annik Magerholm, 2017. "Clarifying the Epistemology of Corporate Sustainability," Ecological Economics, Elsevier, vol. 138(C), pages 40-46.
    11. United Nations UN, 2015. "Transforming our World: the 2030 Agenda for Sustainable Development," Working Papers id:7559, eSocialSciences.
    12. Marcus Linder & Mats Williander, 2017. "Circular Business Model Innovation: Inherent Uncertainties," Business Strategy and the Environment, Wiley Blackwell, vol. 26(2), pages 182-196, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nathalia Suchek & João J. Ferreira & Paula O. Fernandes, 2022. "A review of entrepreneurship and circular economy research: State of the art and future directions," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 2256-2283, July.
    2. Sara Moggi & Renata Paola Dameri, 2021. "Circular business model evolution: Stakeholder matters for a self‐sufficient ecosystem," Business Strategy and the Environment, Wiley Blackwell, vol. 30(6), pages 2830-2842, September.
    3. Ebru Susur & Mats Engwall, 2023. "A transitions framework for circular business models," Journal of Industrial Ecology, Yale University, vol. 27(1), pages 19-32, February.
    4. Pina Puntillo, 2023. "Circular economy business models: Towards achieving sustainable development goals in the waste management sector—Empirical evidence and theoretical implications," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(2), pages 941-954, March.
    5. Maria Rosa De Giacomo & Raimund Bleischwitz, 2020. "Business models for environmental sustainability: Contemporary shortcomings and some perspectives," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3352-3369, December.
    6. Ahmad, Farhan & Bask, Anu & Laari, Sini & Robinson, Craig V., 2023. "Business management perspectives on the circular economy: Present state and future directions," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    7. Gilbert Silvius & Aydan Ismayilova & Vicente Sales-Vivó & Micol Costi, 2021. "Exploring Barriers for Circularity in the EU Furniture Industry," Sustainability, MDPI, vol. 13(19), pages 1-25, October.
    8. Ida K. Rovanto & Anu Bask, 2021. "Systemic circular business model application at the company, supply chain and society levels—A view into circular economy native and adopter companies," Business Strategy and the Environment, Wiley Blackwell, vol. 30(2), pages 1153-1173, February.
    9. Marlin Hoffman & Catherina J. Schenck & Frederick Herbst, 2022. "Exploring the Intersection Where Business Models, a Circular Economy and Sustainability Meet in the Waste Economy: A Scoping Review," Sustainability, MDPI, vol. 14(6), pages 1-14, March.
    10. Sabina Scarpellini, 2022. "Social impacts of a circular business model: An approach from a sustainability accounting and reporting perspective," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(3), pages 646-656, May.
    11. Luca Marrucci & Fabio Iannone & Tiberio Daddi & Fabio Iraldo, 2022. "Antecedents of absorptive capacity in the development of circular economy business models of small and medium enterprises," Business Strategy and the Environment, Wiley Blackwell, vol. 31(1), pages 532-544, January.
    12. Anna M. Walker & Katelin Opferkuch & Erik Roos Lindgreen & Andrea Raggi & Alberto Simboli & Walter J.V. Vermeulen & Sandra Caeiro & Roberta Salomone, 2022. "What Is the Relation between Circular Economy and Sustainability? Answers from Frontrunner Companies Engaged with Circular Economy Practices," Circular Economy and Sustainability,, Springer.
    13. Piera Centobelli & Roberto Cerchione & Davide Chiaroni & Pasquale Del Vecchio & Andrea Urbinati, 2020. "Designing business models in circular economy: A systematic literature review and research agenda," Business Strategy and the Environment, Wiley Blackwell, vol. 29(4), pages 1734-1749, May.
    14. Roberta De Angelis, 2022. "Circular economy business models as resilient complex adaptive systems," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 2245-2255, July.
    15. Okechukwu Okorie & Fiona Charnley & Jennifer Russell & Ashutosh Tiwari & Mariale Moreno, 2021. "Circular business models in high value manufacturing: Five industry cases to bridge theory and practice," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1780-1802, May.
    16. Mechthild Donner & Hugo de Vries, 2021. "How to innovate business models for a circular bio‐economy?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1932-1947, May.
    17. Fabio Neves Puglieri & Rodrigo Salvador & Omar Romero‐Hernandez & Edmundo Escrivão Filho & Cassiano Moro Piekarski & Antonio Carlos de Francisco & Aldo Roberto Ometto, 2022. "Strategic planning oriented to circular business models: A decision framework to promote sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 31(7), pages 3254-3273, November.
    18. Simone Carmine & Valentina De Marchi, 2023. "Reviewing Paradox Theory in Corporate Sustainability Toward a Systems Perspective," Journal of Business Ethics, Springer, vol. 184(1), pages 139-158, April.
    19. Graziela Darla Araujo Galvão & Steve Evans & Paulo Sergio Scoleze Ferrer & Marly Monteiro de Carvalho, 2022. "Circular business model: Breaking down barriers towards sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1504-1524, May.
    20. Fabio A. Madau & Brunella Arru & Roberto Furesi & Pietro Pulina, 2020. "Insect Farming for Feed and Food Production from a Circular Business Model Perspective," Sustainability, MDPI, vol. 12(13), pages 1-15, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:19:p:11014-:d:649831. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.